The company, based in Seattle, also raised its earnings outlook, but not as high as analysts expected on average, and Nordstrom shares fell 25 cents in aftermarket trading to $41.58. The shares had ended regular trading up 43 cents.

Nordstrom said it earned $119 million, or 53 cents per share, for the period that ended Oct. 30. That compares with $83 million, or 38 cents per share, a year earlier.

As the chain's mainly upper-income customers continued to spend more this year than last year, Nordstrom's revenue rose 11 percent, to $2.18 billion from $1.96 billion.

Revenue at stores opened at least a year rose 5.8 percent. The measure is a key indicator of a retailer's health because it excludes stores that open and close during the year.

Analysts surveyed by Thomson Reuters on average expected Nordstrom to report earnings of 51 cents per share and revenue of $2.09 billion.

Among the best sellers across its businesses including online were jewelry, dresses and shoes.

"Our customers are highly receptive to newness and fashion in spite of the soft economic climate," Blake Nordstrom, the company's president, told investors during a conference call.

Revenue at its lower-price Nordstrom Rack division rose 17.9 percent to $65 million. But revenue at Rack stores open at least a year fell 2.2 percent, a drop executives attributed to new stores siphoning business from established ones. Blake Nordstrom told investors the company is addressing the problem.

"The overall picture of the Rack is a positive one," he said. "It's helping us achieve more total sales."

The company expects to open 16 to 18 additional discount stores in 2011.

Nordstrom now expects to earn $2.60 to $2.65 per share for the year, up from a range of $2.50 to $2.65 per share it forecast in August. But analysts predicted $2.64 per share.